Assessment practices for the demands of today
Assessment practices studyDecember 2019
Leadership and talent consultants
A certain something – assessing leadership for uncertain times
We see organisations increasingly facing challenges that
are very different to the complicated, technical ones of
the past. They now need to respond at pace to knotty
issues with imprecise data and a recognition that there is
no one, right direction.
Unsurprisingly many successful leaders are finding it hard
to keep stepping up. Leaders we engage with are saying
that they don’t have all the answers, can’t set the direction
as they used to and are feeling ‘in over their heads’,
resulting in overload and overwhelm. Being super smart,
experienced and hardworking just is not enough anymore.
The demands of the job are outstripping their capacity to
keep up.
So how can organisations identify and equip leaders
to lead in this context? Our belief is that traditional
approaches to leadership assessment and development
rely on an imagined certainty and depend on looking
for and improving the same old leadership skills and
competencies, maybe badged somewhat differently from
time to time. We do not believe this is going to meet the
challenge leaders face and hold the view that something
different is needed.
To enrich our understanding and bring more texture to
what this means right now for organisations and leaders,
we spent time with HR leaders who are right at the sharp
end of this change and disruption.
I hope you enjoy reading what emerged from our dialogue.
Mike Vessey
Managing Partner, MDV Consulting
It is now a truism to say that organisations can no longer rely on any “steady state” realities. We are in an era of unprecedented change with multiple disruptive forces colliding at an ever increasing pace creating a level of complexity that is quite simply outstripping organisations' and leaders' ability to keep up.
MDV Assessment practices for the demands of today December 2019 1
Focus of our study
Recent experience, and insights from our community tells
us that more is needed from practices intended to inform
talent decisions and shape leadership development for an
increasingly unpredictable world.
To explore this, MDV undertook a qualitative and
quantitative study with talent and learning leaders and
professionals from leading organisations. Areas of inquiry
included:
• Are “steady state” realities a distant memory? What are
the predominant disruptive forces that organisations
are experiencing and are these newly emerging or have
they always been there? Does this differ a lot between
organisations?
• What is the impact on leadership? Are all leaders at all
levels and in all parts of the organisation affected? Or
are impacts more localised and targeted?
• Do organisations and leaders themselves see a need for
different practices?
• What are the implications for organisational talent and
development practices? How are organisations working
out how to help leaders thrive in these complex times?
• What is the role of assessment? Is it still important
and relevant? What is being assessed? Are assessment
practices keeping pace with the changing needs of
leaders and organisations?
• What is required of the industry moving forwards?
We were very interested to hear what emerged from this
dialogue. Whilst we had a keen ear for responses to the
questions initially posed, we were also alert to new ideas,
questions and perspectives that surfaced as in need of
attention.
So, this report intends to shine light on issues that are
important in the field of assessment in our turbulent times
and to consider what we can do to inform and shape
practices that will serve us well into the future.
As ever, we look forward to continuing the dialogue and
journey with you.
My heartfelt thanks go to all the contributors who made
this report possible. It was a joy to meet you all.
Melanie Long
Partner, MDV Consulting
As organisations are challenged to identify and develop leaders who can navigate increasingly complex and uncertain environments, an associated challenge is faced by the leadership assessment methods they rely on.
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What we heard….
Disruption: the new steady state?
Without doubt organisations are facing disruption,
uncertainty and change. Whether driven by internal or
external forces, organisations are having to change and
transform in new and different ways to stay relevant, stay
compliant and stay ahead.
“Our organisation is going through significant change and
transformation and our senior leaders are facing a lot of
complexity as a result.”
“Brexit, demographic change, technological change, AI and
robotics, climate change, and so many more…”
“Whilst our geographical reach means we are shielded from
some of the disruption we are operating in a highly VUCA
environment and are still in the grip and challenged with
how to keep our competitive edge.”
“External disruption translates into internal disruption
creating the need to transform and re-invent.”
Few leaders are immune to this disruption and complexity,
but not all are similarly affected. Sector, industry and
organisational context are key determinants of who is
facing the most extreme headwinds. Whilst the top tiers of
leadership in most organisations are facing into the storms,
there are groups of quite junior leaders who are also
grappling with complexity.
“In addition to our most senior leaders, some of our quite
junior managers and leaders are having to lead very big
teams across geographies and cultures and mobilise them
through significant disruption.”
Believed their organisations
were facing moderate to
significant disruption.
88%
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Are leaders ready to navigate the disruption?
Leadership responses to complexity vary greatly. Whilst
some may not know how to make sense of what they
are facing into, they are acting with a sense of urgency
and enthusiasm. Others are “hiding their head in the
sand” and viewing complexity as something that is still
“out there” and “far off” with “future of work” projects
kept at arm’s length from business as usual, with limited
frontline leadership involvement. A number of hypotheses
were mooted as to why this might be happening –
leaders overwhelmed by the complexity, leaders fearing
failure associated with stepping into the unknown and
a reluctance to move away from what they know and
their prevailing operating mode and what has made them
successful historically.
“There is still a separation between 'business as usual'
and longer term 'projects'. These are the future of our
organisation but are 'outsourced' rather than led by our
leaders.“
“Leaders are not yet embracing the complexity of the
challenges facing our organisation. They see the need for
transformation but require a very significant shift in their
perspective and how they view complexity to enable the
required transformation.”
Do organisations need to identify leaders equipped to navigate disruptive forces?
Perhaps unsurprisingly having leaders able to navigate
and make sense of complexity and thrive in such a deeply
uncertain world was seen to be unanimously important.
Additionally 8 in 10 organisations said that over 60%
of their leadership positions required leaders who could
operate in uncertain and complex environments.
“It is critical to our organisation that we identify the best
leaders who can navigate complexity.”
Said it was very important
to be able to identify leaders
most equipped to navigate this
uncertainty.
85%
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What we heard….
What is the right measure for leadership now? Are competencies still relevant?
Leadership competencies – the yardstick by which we
assess, recruit and develop leaders – are often perceived as
outdated and designed for the past not the future. Despite
this, competencies were almost unanimously identified
as the primary measure of leadership and there was little
certainty about what might or should take their place.
“We are looking through the lens of our leadership
capabilities which are out of date and do not really address
the demands of the complex future leaders need to
operate in”
“Leaders and HR are very aware that unprecedented change
is happening, but leadership capabilities and expectations
are not changing.”
Feel their assessment
is well integrated into
the succession planning,
hiring and onboarding
processes.
How relevant is assessment today?
Assessment is deployed across all organisations.
However, beyond the top levels of leadership where, is it
consistently adopted, how, when and why it is used varies
widely. Beyond talent identification, the level of integration
of assessment with core people processes varies greatly.
Regardless of this variation, there is a recognition that
the insights from assessment can be powerful enablers
for decision making and inform and frame people related
activities be it leadership recruitment, development, talent
identification or succession planning.
“All our Centres of Excellence are interested in the insights
that come from assessment – they are all using the data
in different ways. The key is that the assessment provides
meaningful insights.”
Said that more could be done to integrate
assessment into key people processes,
particularly leadership development.
7 out of 10
Use competencies
as the yardstick
for measuring
leadership.
25%
88%
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Were unsure or felt that
assessment methodologies
were not keeping up with the
changing needs of organisations
and leaders.
Are assessment practices keeping up or lagging behind?
Nearly all organisations felt that assessment
practices are not keeping up with the changing
needs of leaders and organisations. Perhaps more
worryingly, is the very real concern that current
assessment isn’t giving the necessary insight that
organisations feel they need to highlight leaders
able to navigate their disruptive and complex
environments. The question as to what is needed
was not an easy one to answer. Some believed
that assessment needs to move beyond the
specific demands of a job and consider cultural and
contextual fit.
“So much of what we are doing is not preparing our
leaders for a totally unpredictable future.”
“My personal view is that perhaps organisations are
not sure there is another way.”
Don’t think or are unsure they are
getting the assessment insights
enabling them to identify leaders
able to navigate uncertainty and
complexity.
88%
70%
"Before I did a lot of personality assessments.
It's interesting, but what I found missing was that
personality traits are static – that's the way you are,
that's how you operate and that's it. My experience
is that over five to 10 years people can change
dramatically. All of these psychometrics don't really
get a grasp on that development." Holger Kujaths
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Beware of passing trends…
Whilst there is a recognition that the assessment industry
needs to play catch up and could jump a few steps forward
more quickly to keep pace with the demands of leaders,
there is a real concern about not falling foul of fads and
fizzle and the associated unintended consequences on
stakeholders, the leaders and the business. Solid theory,
science and practice are needed along with face validity
to ensure relevance, resonance and acceptance amongst
leadership.
“There is a tension between wanting the next best new
thing versus fads. It is a worry how this would land with the
business and face validity, i.e. how the process and person
fits is so important.”
“Seems to me that the tools and techniques are measuring
the same things as they always have – nothing new is
emerging. But at the same time people get nervous trying
something new and are wary of fads.”
What we heard….
Organisations viewed
assessment insights as a very
important input to determining
which leaders were able to
navigate today’s complexity.
Organisations were in total agreement about the
importance of assessment insights in helping identify
the leaders who will be able to successfully navigate
their organisations through uncertainty. But they were
unfortunately not all confident that the insights they were
getting really helped them answer this key question.
“We tend to identify the usual suspects but how do
we know that these are the right ones to lead into the
uncertainty? How do we surface those who could help
transform our organisation? “
“Our assessment practices capture some very valuable
insights, but they are not really touching on complexity and
what it means to be able to handle that well.”
“I am not sure we know who in our talent pipeline can
navigate complexity well.”
9 in10
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Wiser ways for different times?
Our study reinforces our perspective that different ways of
approaching leadership assessment and development are
required. As HR professionals and leaders, it is no longer
sufficient to rely on the practices of the past. Whilst they
have served us well, the time has come to adapt our toolkit.
The appetite for change is palpable but at the same time
there is a real sense of not knowing what a different way
might be, with some fear of falling prey to passing trends
that might not stand up to scrutiny by leaders and expert
HR colleagues. The pressure to deliver assessment which
adds value to the business is a real one. Our data shows
that at best leaders and managers are ambivalent about the
value of assessment and at worst are dissatisfied.
At MDV we have invested the last five years exploring this
dilemma against a business backdrop, which, even in that
time, has become more uncertain and complex. Working
with leading theorists and practitioners we have found a
way forward that we believe honours best practice of the
past but at the same time shines a light on an established
and highly relevant perspective from the world of adult
constructivist development (or popularly known as vertical
development). Why is this field so relevant today?
To help leaders navigate and make sense of the complexity
they are facing requires them to access wiser ways
of operating that go beyond the reach of traditional
leadership competencies, traits and skills. They need to
be able to think, act and relate in different and more
expansive ways. Increasing their capacity to make sense of
high levels of complexity and ambiguity whilst exploring
and finding common ground in multiple perspectives
enables them to navigate a path to solutions appropriate
to the context. At the same time having greater self-
awareness and distance from their emotional reactions
and patterns of behaviour enables a cool and calm head
despite the pressure that surrounds them.
Hope not fear – Opportunity to alter focus?
The good news is that these wiser ways can be accessed
and understood through reliable and relevant assessment
methods. They can also be developed through “on the
job” habits and practices leading to truly transformational
change and development.
"Our research findings reinforce just how tough it is for business leaders and organisations right now.
Very few, if any, are immune to disruption and are unsurprisingly feeling overwhelmed and ‘in over their
heads’. We find business leaders are the first to recognise that new approaches are required for this new
era. The HR community as a whole, seems less adept at changing from the old orthodoxies that are no
longer appropriate for today’s complexity. Interestingly, one of our interns wanted to do a dissertation on
new assessment methods and was told quite firmly by her supervisor, 'I’ve never heard of these tools, nor
of adult development theory – and I’ve been teaching for 20 years'. How can we ask or expect change in
our leaders if we, as a profession, cling to our behavioural competency models and traditional methods of
assessment? The time truly has come for HR to move beyond traditional practices and meet leaders with
solutions fit for the age." Mike Vessey
8 MDV Assessment practices for the demands of today December 2019
Overview of who we are
MDV is a London-based leadership and talent consultancy,
serving clients across the UK, Europe, Asia and the US.
We design and deliver assessment methodologies and
processes that enable getting the right talent in the right
roles, fundamentally reducing the well-documented costs
of getting it wrong. We accelerate individual and group
development, designing and delivering development
programmes, team event and one to one coaching to
maximise the value of your people, recognising the need
for top talent to deliver quickly and add value to the
bottom line. Finally, we design your supporting talent
infrastructure, connecting the pieces that enable people
to thrive and deliver results.
Our clients include FTSE 100 and FTSE 250 companies and
multinationals operating across many sectors including
professional services firms, online & digital, transportation,
food and drink manufacturers, financial services and
industry regulators.
www.mdvconsulting.co
+44 207 323 2104
Mike Vessey is the Managing Partner of MDV Consulting.
Leadership assessment and development has been the
backbone of his 25 plus years’ experience as both an in-
house practitioner in talent management and resourcing
as well as leading several consultancies. In that time, he
has designed and delivered leadership assessment and
development programmes for many well-known, blue chip
organisations and professional firms. Mike has a particular
interest in adult development, incorporating these concepts
into MDV’s work to help individual and organisational levels
develop the capacities for today’s world.
Melanie Long is a Partner of MDV Consulting.
She brings over 20 years as a talent and assessment
professional working in both large corporates and
consultancies. Drawing on her business psychologist
background, Mel has developed deep expertise in talent,
assessment and D&I. She has designed and implemented
many solutions for clients ranging from one to one and
group-based assessment programmes, through to team
and women-led development. In doing so, she balances
creativity with pragmatism to ensure solutions open-up
new thinking, land well with stakeholders and deliver real
insights and value.
About MDV
This report summarises what we have heard. However, we
are keen that these insights contribute to evolving better
practices for our readers. In this section, we provide a few
reflective questions to support further thought on these
insights in relation to your own organisations. We hope
you find them useful.
What do you think?
• How much of an acceptance is there amongst your
leadership that part of their role is to actively support
your organisation in being able to respond
to disruption and complexity?
• How equipped are your leaders to navigate this
complexity and unpredictability?
• Are your assessment practices enabling the
identification of a pipeline of future leaders with
the capacities to navigate disruption?
• How much do your assessment practices rely
on 'traditional' factors such as personality and
competencies?
• Do you feel your assessment and development
practices are proactively supporting your leaders
for certain uncertainty?
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